Cazoo, the UK’s one of the leading online used car retailers and a unicorn has today reached the milestone with having announced Q2 results today, reporting revenues up 600% YOY.
Further, it has confirmed $7bn SPAC plans to list on the NYSE via a merger with Ajax, a special purpose acquisition company.
£141 million, up 605% YoY
Alex Chesterman OBE, Founder & CEO of Cazoo, commented, “Our rapid growth trajectory continued in Q2 with record revenues of around £141 million, up 605% year on year, as consumers embraced the selection, transparency and convenience of buying cars entirely online. Our gross profit per unit increased substantially during the quarter, up from £143 in Q1 to around £460 per unit in Q2, as a result of the continued improvements we made across our buying and operations. We remain on track to achieve revenues approaching $1 billion in 2021 and expect operational efficiencies to continue to drive further gross margin improvements.
“During the quarter, we brought our vehicle refurbishment in-house and now have 5 vehicle preparation centres in operation across the UK, giving us a significant infrastructure advantage and complete control of our extensive UK-wide reconditioning and logistics operations. We also launched our new car subscription service, now offering consumers both new and used cars with the option to purchase, finance or subscribe, all entirely online.
Launch in mainland Europe
Further, the company is planning to launch into mainland Europe later this year and have started buying and reconditioning cars and started to significantly build out teams on the ground in both France and Germany. Further, they plan to accelerate investment and rollout plans soon.
Dan Och, Founder of AJAX, said, “We are delighted with Cazoo’s record performance over the past two quarters. The team have had another great quarter and this once again confirms the significant opportunity that lies ahead for the business as they continue to grow at pace and drive to increase digital share in the $700 billion European market, which we believe will create compelling shareholder value.”
— Press release